Today's Comments (Short Term Outlook)                             Printer friendly

Filling gaps Stocks rolled over yesterday, almost on queue with resistance above and the overbought condition.  The pullback is helping fill the gaps we have been watching, but is that all the market is doing, or will it be worse than that? The S&P made a short-term higher-high on Friday but the early February peak near 1395, seems to have given it some trouble.  Now we'll watch this short-term rising trading channel to see if the new trend can continue.                         Chart provided courtesy of www.decisionpoint.com - with analysis by TSP Talk   Here is the recent short-term chart of the Nasdaq, which I like to use to show gaps since they show up better.  Friday's gap has been about 60% filled and last Wednesday's gap is still completely open.  If they were to both close we'd be seeing a move down below 2300, or a 3% decline from here. It's not shown in this chart, but here is also a small open gap down near 2200, but we'll cross that bridge when we get there.                         Chart provided courtesy of www.decisionpoint.com - analysis by TSP Talk Tuesday and Thursday evenings are my busy nights so I have to cut today's commentary short.  I am still being defensive and will be watching closely to see how the market reacts if those gaps do get filled.   That's all for today.  Thanks for reading!  See you tomorrow.   Have questions?  Visit our message board for answers.  Would you like to be on our email alert list?  We will send you an email when there is a change to our asset allocation or market outlook.  Your email address will never be given out.  Read our privacy policy.  By signing up you agree to the TSP Talk Terms of Service.  More details below **. Are you bullish or bearish?  Join the Weekly Sentiment Survey. Like what you're reading?  Tell a Friend about us. ------------------------------------------------------------------------------------------------------------------- ** By joining our email alert list you will receive an email each time we initiate a transfer or change our market outlook.  You may also receive an email each Monday morning reminding you that our comments are updated daily.  We will always send out these emails prior to making the transfer myself but we can not guarantee you will receive it in time to make a transferide to follow our transfers in your own account, you do so at your own risk.  There is always a possibility for a loss in your account.  These transfers could come very often and you may have to act quickly to make the deadline.  Please consider your investment strategy before taking any advice or making any transactions.  By reading the contents of TSP Talk.com and accepting the email alerts, you must agree to the Terms of Service.  Thank you. TSP Talk